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All of the Following Statements About Deflation,except One,are True

Question 44

Multiple Choice

All of the following statements about deflation,except one,are true.Which is the exception?


A) It is characterized by interest rates at zero or near zero.
B) Apart from one year,it has not occurred in Canada since the Great Depression.
C) It means that a return on idle money is possible.
D) It encourages consumers to postpone major purchases.
E) It encourages large-scale investment in the economy.

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